{"id":31665,"date":"2010-01-26T09:44:17","date_gmt":"2010-01-26T09:44:17","guid":{"rendered":"http:\/\/www.corporate-eye.com\/blog\/?p=31665"},"modified":"2010-01-25T18:45:47","modified_gmt":"2010-01-25T18:45:47","slug":"starbucks-full-court-press","status":"publish","type":"post","link":"https:\/\/www.corporate-eye.com\/main\/starbucks-full-court-press\/","title":{"rendered":"Starbucks: Full Court Press!"},"content":{"rendered":"

 <\/p>\n

\"Starbucks<\/a><\/div>\n

Okay\u2014pun intended.\u00a0 But blame the New York Times<\/em> for introducing basketball in its recent story titled Now at Starbucks: A Rebound<\/a>.\u00a0 In its Q1 earnings report, SBUX showed a net income of $241.5 million (up from $64.3 million in the year-ago quarter), revenue up 4%, and same-store sales up 4%.\u00a0 After several quarters of steady declines, the new view must look just like heaven.<\/p>\n

So what has Starbucks done right?\u00a0 First let\u2019s consider how this connects with the subject of Careers.<\/p>\n

Back in May of 2008, when Starbucks was still assumed to be bullet-proof, HR guru Kevin Wheeler wrote an article about employer branding titled Why Google or Starbucks?<\/a> In it he wonders what makes people especially eager to work at certain companies, and decides:\u00a0 \u201cMore people are attracted to causes than things.\u201d<\/p>\n

We could argue whether this is still true in times (like now) of high unemployment.\u00a0 But let\u2019s say for the moment that Wheeler\u2019s proposition is at least basically true.\u00a0 He sees Google\u2019s \u201ccause\u201d as free information, and asserts that:<\/p>\n

Starbucks\u2019 cause is community. It\u2019s a place, like in the old television show Cheers<\/em>, where everybody knows your name. It feels good to go into your local Starbucks every morning, be greeted by a smiling barista who knows your name and your favorite drink, and to meet some friends.<\/p>\n

That is indeed the role Starbucks plays in my life, and in spite of corporate ups and downs, my local baristas are always warmly waiting when I walk in the door\u2014and I regard every<\/em> Starbucks location as a remote office plus home-away-from-home.\u00a0 But even when Wheeler was writing, SBUX was in trouble.\u00a0 That same year saw the beginning of extensive store closings and layoffs, along with a barrage of downside publicity.<\/p>\n

To the extent that their reinvention campaign is succeeding, it\u2019s not only because of streamlining or process improvements. There has also been a focus on reenergizing employees\u2014and Starbucks has joined the new culture of customer engagement: lots of social networking, a listening campaign, special offers, and even an affiliation with MSNBC\u2019s feisty AM talk show, Morning Joe<\/em>.<\/p>\n

The Starbucks Career Center<\/a> website now reads like an excerpt from Wheeler\u2019s article.\u00a0 The headline:\u00a0 “It’s a lot like working with friends.” <\/strong>And the pitch: <\/strong><\/p>\n

We call each other “partners”. We respect our customers and each other. We’re dedicated to serving ethically sourced coffee, caring for the environment and giving back to the communities where we do business. And we’re still small enough to remember your name when you walk in the door.<\/p>\n

Reinforcing the message is a festoon of employer awards, from the trusty Fortune 100 Best Companies to Work For to Forbes 100 Best Corporate Citizens and Best Places to Work for LGBT Equality.\u00a0 So the \u201ccause factor\u201d is definitely full court press.<\/p>\n

Not that everything is perking perfectly in the inner world of Starbucks.\u00a0 There are employee complaints\u2014and because Starbucks is big, and actively represents itself as a responsible employer, those complaints get coverage.\u00a0 But the percentage of unhappy workers seems proportional, and there is definitely no lack of barista wannabes.<\/p>\n

Now for the punch line. <\/strong>If you compare Keven Wheeler\u2019s prescription for establishing a strong employer brand with NYT<\/em>\u2019s account of what’s behind the Starbucks rebound . . . there is a very strong similarity.\u00a0 Wheeler\u2019s five steps to \u201cMake Your Company Memorable\u201d:<\/p>\n

    \n
  1. Gain perspective and know yourself.<\/li>\n
  2. Define the promise.<\/li>\n
  3. Develop a strategy.<\/li>\n
  4. Create a \u201cbuzz\u201d to communicate your brand.<\/li>\n
  5. Measure your progress.<\/li>\n<\/ol>\n

    In short\u2014what works for getting and keeping employees works for getting and keeping customers.\u00a0 And vice versa.<\/p>\n","protected":false},"excerpt":{"rendered":"

      Okay\u2014pun intended.\u00a0 But blame the New York Times for introducing basketball in its recent story titled Now at Starbucks: A Rebound.\u00a0 In its Q1 earnings report, SBUX showed a net income of $241.5 million (up from $64.3 million in the year-ago quarter), revenue up 4%, and same-store sales up 4%.\u00a0 After several quarters of […]<\/p>\n","protected":false},"author":10,"featured_media":31666,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","footnotes":""},"categories":[9,25,6147],"tags":[2931,86,1209,213],"class_list":{"0":"post-31665","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-best-practices","8":"category-careers","9":"category-featured-careers","10":"tag-corporate-recruiting","11":"tag-corporate-websites","12":"tag-employer-branding","13":"tag-starbucks","14":"entry"},"yoast_head":"\nStarbucks: Full Court Press! 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